Production and Operations Restructuring: Using Time‐based Strategies Available to Purchase

British and American manufacturers continue the struggle to remain competitive, yet there remains a vast amount of unused energy and potential trapped by the inadequate organization of resources. Using a time‐based strategy, the value‐adding capability of the organization can be measured and constraints identified. This time‐based framework can guide investments and improvement actions whilst retaining links to an overall quick response/improved customer service strategy. A method of reducing throughput time has been developed, which separates non‐value– and value‐adding operations. Results from the electrical switchgear industry show that, when throughput time is reduced, stock of materials, labour efficiency, production planning and customer service can all be improved to reduce total costs.